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By : Deepak G
1st year MBA
BSMS
McDonald’s is the world's leading food service
retailer with more than 30,000 restaurants in 119
countries serving 47 million customers each day. It
is one of the world's most well-known and valuable
brands and holds a leading share in the globally
branded quick service restaurant segment of the
informal eating-out market in virtually every
country in which they do business.
Geographic:
Geographically McDonald’s seem to have
categorized the entire Indian market as urban and rural
markets. As a strategy for entering the Indian market
McDonald’s appear to have adopted the segmentation
at the micro level, by directing the entire focus
towards only urban market. McDonald’s India as of
today caters only to the urban population in India.
Income level:
• In a market like India where a significant proportion
of India’s population lies in the lower income bracket,
the price of the products becomes very critical. Now
the challenge was to provide quality products at prices
affordable to urban masses.
• For example, the chain has a product called Mc Aloo
tikki costing Rs:20/, which caters mainly to the
student community whose pockets are not broad
enough
• Age:
The earlier strategy of the McDonald’s was to
segment the market on the basis of the age, by
catering mainly to the kids and youth. However, now
they are trying to blur this segmentation and focus on
the all age groups.
• Family:
McDonald’s is now targeting the entire family by
offering various incentives packed product schemes
like “family meals” at a very competitive price
 Taste and preferences of people for that
particular country.
 Religious beliefs and behaviour of customers.
• Occasions:
Under this segmentation the McDonald’s has
classified customers on the basis of the frequency of
their visits, into regular and occasional customers.
Now, to maximise the cluster of regular customers
they are coming up with ad lines like “BAHAANA
KYA HAI” so that the customers don’t look for a
special occasion to visit the outlet.
McDonald's India Market Segmentation Strategy

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McDonald's India Market Segmentation Strategy

  • 1. By : Deepak G 1st year MBA BSMS
  • 2. McDonald’s is the world's leading food service retailer with more than 30,000 restaurants in 119 countries serving 47 million customers each day. It is one of the world's most well-known and valuable brands and holds a leading share in the globally branded quick service restaurant segment of the informal eating-out market in virtually every country in which they do business.
  • 3. Geographic: Geographically McDonald’s seem to have categorized the entire Indian market as urban and rural markets. As a strategy for entering the Indian market McDonald’s appear to have adopted the segmentation at the micro level, by directing the entire focus towards only urban market. McDonald’s India as of today caters only to the urban population in India.
  • 4. Income level: • In a market like India where a significant proportion of India’s population lies in the lower income bracket, the price of the products becomes very critical. Now the challenge was to provide quality products at prices affordable to urban masses. • For example, the chain has a product called Mc Aloo tikki costing Rs:20/, which caters mainly to the student community whose pockets are not broad enough
  • 5. • Age: The earlier strategy of the McDonald’s was to segment the market on the basis of the age, by catering mainly to the kids and youth. However, now they are trying to blur this segmentation and focus on the all age groups. • Family: McDonald’s is now targeting the entire family by offering various incentives packed product schemes like “family meals” at a very competitive price
  • 6.  Taste and preferences of people for that particular country.  Religious beliefs and behaviour of customers.
  • 7. • Occasions: Under this segmentation the McDonald’s has classified customers on the basis of the frequency of their visits, into regular and occasional customers. Now, to maximise the cluster of regular customers they are coming up with ad lines like “BAHAANA KYA HAI” so that the customers don’t look for a special occasion to visit the outlet.